Mild February Helps Put More On Job Rolls

Local and statewide unemployment dropped in February in the wake of mild weather and the return of idled workers to Norfolk's Ford Motor Co. plant.

Hampton Roads and Virginia both posted a jobless rate of 4.4 percent. During the previous month, there was 5.7 percent unemployment in Hampton Roads and 4.6 percent in the state.

Statewide, the unemployment rate was the second lowest for a February in 17 years. The last time the month's rate was lower was in 1988, when state unemployment was 3.9 percent, said William Mezger, planning research economist for the Virginia Employment Commission.

"The unemployment rate reflects the mild weather. Outside work started up earlier than usual and there were few layoffs in the auto and housing industries," he said.

In January, Ford temporarily idled 1,600 local workers as part of a move by the Big Three automakers to slash production.

"They were back by February," Mezger said.

Non-farm employment in the state increased over the month by 3.1 percent to 2,875,600 jobs. Mezger attributed higher employment in the services, construction, and finance and insurance sectors to that increase.

A record 585,700 people were employed by the government statewide, Mezger said, attributing that record to the start up of the school year after the Christmas break and the state legislature being in session.

Statewide employment in the trade and manufacturing industries dropped.

In Hampton Roads, non-farm employment increased by 800 jobs to 580,800 in February. That increase was attributed to higher employment in the transportation equipment, construction, government and service industries.

Suffolk posted one of the highest unemployment rates locally, although it declined from the previous month, due to layoffs in the food processing industry.

"Peak employment in the food processing industry occurs in the fall, but it winds down in spring. It's getting to its low point about now," Mezger said.

He added, "The peanut crop wasn't quite as good this year because it was so wet last fall."

Williamsburg recorded high unemployment because of seasonal layoffs related to the tourism industry.

The Northern Neck's Lancaster County recorded the state's highest unemployment rate - 19.4 percent - because of the drop in fishing due to winter. Falls Church in Northern Virginia posted the state's lowest jobless rate, at 1.3 percent.

Mezger predicted a statewide unemployment of 4.1 percent in March. He based his prediction primarily on a continued "pickup in outside activities."

The nation's jobless rate in February was 5.8, down one-tenth of a percentage point from the previous month.